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They will pay £250,000 cash on completion, £6000000 over 3 years the rest is the shares £6000000 pounds worth which you are on about and 91000000 shares that can be sold or should I say that have been sold. They have not paid them £14000000 in cash
Tygra, the £6 mil placing (heavily dilutive) in view of the “soon to be gas revenues” that will pay off a £12 mil loan by year end makes zero sense to me and is worrying.
Foxtail
Astounding analysis! Someone has 'sold out' and is attempting to get the price lower by posting on an anonymous forum in the hope that market makers will lower the price when a tiny sell from a perma-panicked investor goes through.
So the price being under 1.10p per share to buy isn't low enough after someone who sold last week would've received between 1.35-1.40 on a good day?
Please wake up
Sorry this was meant for Yanis
They will pay £250,000 cash on completion, £6000000 over 3 years the rest is the shares £6000000 pounds worth which you are on about and 91000000 shares that can be sold or should I say that have been sold. They have not paid them £14000000 in cash
Yanis
I agree, that's why I believe a deal has already been agreed and that is why we are seeing massive trades that can't be from the placing shares that are yet to be admitted to trading. I believe there's mass forward selling due to a soon to be announced additional deal that will involve more dilution at a discount to the current price.
Time will tell
Baits, they are paying £250k in cash, 91 mil shares @ 1.09p, 546 mil shares at 1.20p, & £6.25 mil from gas sales - £14 mil for SEL’s 49% interest.
On top of that they are issuing another 546 million shares to raise £6 mil - Why? If the gas proceeds will be enough to past off the original £12 mil loan by year end?
Ok all in all it has cost 12 million in loans and 14 million for the buyout, out how long do you think that will take to pay off with the Gas prices as they are over the life of the well that will be peanuts. The edge will be easily handled for the same reasons the price of Gas will be high for quit awhile and Angus will make millions for the outlay.
Thank God GIDEONS (who should have had a Government Health Warning attached to his Tag) has disappeared.
Feel sorry if anybody was swayed by his comments, even at 1.40 in March and Early May this was supposed to be 3p-5p.
It will come good, but you need more patience, we must produce Gas and produce Oil (Its always been in the ground, getting it out is/has been our problem)
Foxtail, brokers got 5 mil. That is the only one shown in the RNS.
Tygra, that is my concern and the reason this threat is titled “Deja vu?”. It worries me of a repeat of the events leading to Brockham disaster - we had a substantial placing at 4.25p and the SP went right though that down to 1p. I hope this time is different.
Yanis,
as you know the breakdown of the allocation is in the RNS, so i wont repeat it.. but it is part of the reason i am so frustrated..
half of the first 3M is for "Working capital and future acquisition finance " even though we already raised 2m this year for working captial.. and .75m of the raise is to cover SFB overruns.. and the rest is for SEL and getting the deal done..
we dont get to vote on that though..
we get to vote on whether we want to give the BOD permission to dilute further to stay in compliance with the agreement of the loan. and give an additional 0.5m "working captial". even though we will be producing and generating revenue from SFB and have oil sales also..
That will be 5m raised for working capital this year so far, even though SFB was meant to be fully financed in advance.. yet we are going to have 12m to pay down the debt by xmas.. doesnt make sense..
We should have the 2.5m as the first subscription and the get to vote on the deal and giving them more working capital.. Can see why they cant wait for the revenue from gas..
Yanis the RNS says that 273m shares was poured into the slush bucket yesterday, headroom can only issue/ allocate 273m today.
Baits, you are missing the point - we are supposed (according top GL’s interview a few weeks ago) to be able to pay the £12 mil loan off by the end of this year (i.e. in the next 7 months)
Why heavily dilute the shareholders with another 546 million shares to raise £6 mil … and also do that at a heavy discount … place at 1.09p when the average SP over the last couple of months is around 1.35p?
Raise £6mil when he is expecting to make £12 mil within the next 7 months to pay the loan off + more?
BV, the raise of £6 mil is via the issue of 546 million shares. The existing authority to issue shares does not cover this, is 273 million short, hence the EGM.
Foxtail, I find it funny when posters say we only have 2 weeks unhedged gas,that's like saying work 4 weeks at £10 per hour, or i'll give you £20 per hour for 2 weeks work lol.
Another worrying development - the number of MMs sitting at the ASK increased to 2 just before the bell.
These two are JBER and MREX who have always been at the ASK (at least one of them) over the last 2 or 3 weeks (maybe longer). This means the sells will continue IMO.
Yanis yes I know, but half the amount are in the system as we speak, it's there in black and white.
Again, it is simply not possible for ANGS to pay off the £12 million loan by the year end if the sidetrack doesn't perform as George hopes. Yesterday's acquisition of SEL doesn't change this picture in the slightest.
This should come as no surprise to anyone. Two days ago it was impossible for ANGS and SEL to pay off the loan for which they were jointly responsible within 12 months without a successful sidetrack... so why should ANGS taking over SEL's revenues from and liabilities on the field make the slightest difference to this? Answer: it doesn't.
Yanis let them sell, someone else is obviously mopping them up.
HITS, whether the site track performs or not is irrelevant.
What matters is what GL believes - and he believes that he will pay the loan off by year end - if you get my drift?
BV, someone else is mopping them up but the SP is dropping!
Yanis, it doesn't matter what George believes. It's basic maths (and I also think if you examine George's statements about "paying the loan off by year end" carefully, you'll find they're always qualified by a quiet "if the sidetrack is successful" condition).
if the field only produces 1.5 million therms a month, then what with the hedge and using today's future gas pricing, then in the first 12 months, the field delivers a total of £36.8 million revenue from sales of gas.
Of this, Mercuria gets £30.6 million on the differential on the 12 swap contracts in that year, leaving ANGS with the remaining gross revenue the next 12 months of £6.2 million.
You'd accept it's a tad hard to pay off a c. £14 million loan (capital plus interest) out of field revenues totalling £6.2 million?
And that's why the sidetrack is crucial.
HITS, you are missing the POINT.
The point is that GL said that he will pay the loan off by year end … then he goes and raises via dilution £6 million.
Doesn’t add up - you get the drift?
Yanis, yes, I see your point - but I wasn't in the least surprised at the oddity or the fact that things don't add up.
Probably because I find it near impossible to believe anything George says or take any of his statements, promises, predictions or assurances at their apparent face value. I suspect that ANGS was close to running out of cash (or at least breaching the positive bank balance condition of the loan) and it found it needed more money to complete Saltfleetby and also to fund the sidetrack attempt.
The fact that George mentioned needing to keep the lenders and the regulatory authorities happy in the recent RNS suggests that having taken on SEL's field responsibilities as well, he also may now be obliged to increase the provision insisted upon for eventual de-comm, which would be a requirement regardless of whether the field eventually gets decommissioned or not.
Foxtail
Today 16:12 Posts: 1
Price: 1.075 No Opinion
"It is amazing what some people will say or do to try and recover big losses.
Desperation creeps in in the end I suppose. Especially if they could lose their house by remortgaging and buying shares at the top which suddenly fall back in price drastically for instance?"
Is this directed at me?
HITS, yes, I think I agree with your last post.